Northquest Ltd.
TSX VENTURE : NQ

Northquest Ltd.

December 16, 2010 11:55 ET

Northquest Ltd. Announces Increase in Private Placement Financing

TORONTO, ONTARIO--(Marketwire - Dec. 16, 2010) -  

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Northquest Ltd. (TSX VENTURE:NQ) ("Northquest") is pleased to announce that further to its previously announced private placement of up to 1,428,571 units at a price of $0.70 per unit, Northquest also proposes to issue up to 2,105,263 "flow through" units ("FT Units") at a price of $0.95 per FT Unit to raise additional aggregate gross proceeds of up to approximately $2,000,000. Each FT Unit will consist of one "flow through" common share of Northquest and one-half of one share purchase warrant, each whole such share purchase warrant entitling the holder thereof to acquire one additional common share of Northquest (which shall not be a "flow through share") for a period of 24 months at an exercise price of $2.25 per share. A cash commission of up to 5% of the gross proceeds from the sale of the FT Units will be paid to eligible finders.

The private placement remains subject to the approval of the TSX Venture Exchange.

Forward Looking Statements – Certain information set forth in this news release may contain forward-looking statements that involve substantial known and unknown risks and uncertainties. These forward-looking statements are subject to numerous risks and uncertainties, certain of which are beyond the control of Northquest, including, but not limited to the impact of general economic conditions, industry conditions, volatility of commodity prices, currency fluctuations, dependence upon regulatory approvals, and the availability of financing. Readers are cautioned that the assumptions used in the preparation of such information, although considered reasonable at the time of preparation, may prove to be imprecise and, as such, undue reliance should not be placed on forward-looking statements.

NEITHER THE TSX VENTURE EXCHANGE NOR ITS REGULATION SERVICES PROVIDER (AS THAT TERM IS DEFINED IN THE POLICIES OF THE TSX VENTURE EXCHANGE) ACCEPTS RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THIS RELEASE.

Contact Information

  • Northquest Ltd.
    Jon North
    President and Chief Executive Officer
    (416) 786-6348